Why Project Management

The basic purpose for initiating a project is to accomplish some goals. The reason for organizing the task as a project is to focus the responsibility and authority for the attainment of the goals on an individual or small group.

In spite of the fact that the project manager often lacks authority at a level consistent with his or her responsibility, the manager is expected to coordinate and integrate all activities needed to reach the project's goals. In particular, the project form of organization allows the manager to be responsive to the client and to the environment, to identify and correct problems at an early date, to make timely decisions about trade-offs between conflicting project goals, and to ensure that managers of the separate tasks that comprise the project do not optimize the performance of their individual tasks at the expense of the total project—that is, that they do not suboptimize.

Actual experience 113J with project management indicates that the majority of organizations using it experience better control and better customer relations. A significant proportion of users also report shorter development times, lower costs, higher quality and reliability, and higher profit margins. Other reported advantages include a sharper orientation toward results, better interdepartmental coordination, and higher worker morale.

On the negative side, most organizations report that project management results in greater organizational complexity. Many also report that project organization increases the likelihood that organizational policy will be violated—not a surprising outcome, considering the degree of autonomy required for the project manager. A few firms reported higher costs, more management difficulties, and low personnel utilization,

As we will see in Chapter 4, the disadvantages of project management stem from exactly the same sources as do its advantages. The disadvantages seem to be the price one pays for the advantages. On the whole, the balance weighs in favor of project organization if the work to be done is appropriate for a project.

Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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